Blog installation on a eccomerce site.

The redesign for the homepage is done, but we are looking to install a blog on the home page of the site, that acts like a news feeder. Basically displaying a news headline and a small amount of content regarding that news item. Clicking on this link will take you to the blog which will be skinned to look like the rest of the site. I have an illustration online, which shows the idea that I have.

I know that wordpress will be installed in its own directory, but I am unsure of how I will get the links on the home page. Will it be a case that I have to hard code on the home page to link to the blog, ir is there a way that my home page can pull in the headlines automatcally.

I am not sure if there is a widget or an add on that I need for this, but I just thought I would try this, as I need to get this right first time. This will be the latest wordpress installation, as I have not carried this out yet.